ZAGREB, July 30 (Hina) - Erste Bank der oesterreichischen Sparkassen AG (Erste Bank) and Croatia's State Agency for the Insurance of Savings and Rehabilitation of Banks (DAB) on Tuesday concluded a contract on the final purchase price
of 85.02 per cent of the total capital stock of Rijecka Bank which decreases the price of the ownership package from 55 to 51.02 million euros.
ZAGREB, July 30 (Hina) - Erste Bank der oesterreichischen
Sparkassen AG (Erste Bank) and Croatia's State Agency for the
Insurance of Savings and Rehabilitation of Banks (DAB) on Tuesday
concluded a contract on the final purchase price of 85.02 per cent
of the total capital stock of Rijecka Bank which decreases the price
of the ownership package from 55 to 51.02 million euros. #L#
The new, lower price was determined, as Erste Bank sources
informed, after a due diligence was conducted in keeping with the
Sales Contract that Erste Bank and DAB signed on April 29. The final
purchase price for the 85.02 ownership shares by Erste Bank in
Rijecka Bank was decreased then by 3.98 million euros or about 7 per
cent compared to the starting price.
The finalising of the purchase price approved by DAB was not related
to the quality of Rijecka Bank's assets but rather due to the
repercussion of an increased outflow of client deposits. The
results of the due diligence confirmed that the bank's basis is firm
and that it has a sound position on Croatia's banking market, Erste
Bank reported.
In compliance with the provisions of the Law on Takeovers, Erste
Bank on May 15 advertised obliging offers for minority shareholders
in Rijecka Bank in a move to purchase the remaining 14.98 per cent of
shares. The price offered was 12.79 euros per share and the offer
was valid until June 16.
Ownership participation by Erste Bank in Rijecka Bank has reached
92.22 per cent while the remainder of shares is owned of small
shareholders.
(hina) sp ms